Annual general report of the controller and - Parliament of Tanzania

The original contract price with Group Five East (PTY)
Limited in June 2002 was US $ 73,600,000; and the total
payments up to June 2008 were US $ 284,671,176 which is
equivalent to TZS 335,991,987,901.
The analysis of payments to other consultants up to 30
June 2008 was as follows;
Contractor/ Consultant
Name
Payment up to
June 2008
(Shs)
Design and Services Limited 39,801,670,160.36
WEBB Uronu & Partners 24,349,296,705.35
Inter Consult Ltd 8,921,404,091.60
Tan Consult Ltd 5,991,508,081.47
Design and Services Ltd and WEBB Uronu & Partners
payments are above the range of fees in their agreements.
We found no evidence of agreement for revision of the
terms with consultants which implies that the Bank may be
paying excessive payments contrary to the agreed terms
and there is potential cost escalation without any
safeguard by the Bank.
Management should review the terms and conditions with
sub-contractors to ensure that these are reasonable and
adhere to relevant professional standards and guidance on
rates.
8.9 Questionable implementation of ICT contract NSSF
Review of the contract signed between NSSF and Macro
software systems (T) LTD for consultancy, development,
and integration & application software (oracle e-business
suite applications and core fund management system) on
29/10/2004, found the following anomalies:-
• Although the time frame to accomplish the project was
spelled out to be 18 Calendar Months from 1/11/2004 to
April, 2006 and considering the urgency of the system,
NSSF deployed more resources in order to reduce the
time frame to 12 Months but over 24 Months elapsed
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Office of the Controller and Auditor General PA&oBs 2007/08 153